IN GOOD COMPANY
How Social Capital Makes
Organizations Work
knowledge has always resided
in organizations but it wasn't until the Information Age put a premium on ideas that
intellectual capital was recognized as a critical resource. Now, forces like technology,
globalization, and the rise of free agency and virtual workplaces are bringing another
form of "hidden" capital to the forefront.
In Good Company is the first
book to examine the role that social capital a company's "stock" of human
connections such as-trust, personal networks, and a sense of community plays in thriving
organizations. Written by leading knowledge management experts Don Cohen and Laurence
Prusak, this groundbreaking book argues that social capital is so integral to business
life that without it, cooperative action and consequently productive work isn't possible.
The authors help today's leaders understand the nature and value of social capital,
suggest ways they can encourage and enhance it, and explore how they can protect this
vital but increasingly vulnerable resource in a volatile, virtual world.
Drawing on major social and
economic theories, and the experiences of organizations including the World Bank, Aventis
Pharma, Alcoa, Russell Reynolds, and UPS, In Good Company identifies the social elements
that contribute to knowledge sharing, innovation, and high productivity. The authors
convincingly show how almost every man-Continued on back flap agerial decisionfrom hiring,
firing, and promotion to implementing new technologies to designing office space-is an
opportunity for social capital investment or loss. They also reveal the benefits that
derive from investments in social capital, such as greater commitment and cooperation,
increased talent retention, and more intelligent responses to customer needs.
A landmark book on the
critical role that relationships play in organizational success, In Good Company helps
employees at all levels recognize the power of social capital to help people work better
and make organizations better places to work.
Don Cohen (right) is a
writer, consultant, and the editor of Knowledge Directions.
Laurence Prusak (left) is
Executive Director of the IBM Institute for Knowledge Management and coauthor of Working
Knowledge: How Organizations Manage What They Know.
210 pages